At one time, the only way of getting from Wheelgate to the Market Place was by using Studley Lane at the top of which was a short passage leading into the Market Place. "Studley's lane" is mentioned in the Malton Messenger of 22 March 1856 as the lane leading from Market-place to Wheelgate. In 1857, or shortly before, a lot of old cottages in Studley Lane were pulled down to open out the site for the National School. St. Michael Street was formed out of the old lane 'and the improvements begun which culminated only recently in the reconstruction of the premises now occupied by Messrs. Read, the city clothiers.' 
The 1851 census lists Studley Lane, but it is missing from the 1861 census.
-  Yorkshire Gazette, 4 July 1914
Memories of St Michael Street
What follows has been taken from Thomas Baker's 'Memories of Malton and Some of its Inhabitants in the 'Sixties and Onwards'. The date of writing is assumed to be the 1920s - 'sixties' refers to the 1860s!
This street has not altered much in my time except that where the playground in connection with the National School is now, there were some half-dozen cottages; and just above, where the late Mr. Smith's photographic studio and Mr. Bristow's butcher's shop stand, there was an open piece of ground where Mr. Edwin Hall had a photographic studio, a wooden structure. Mr. Milner, an artist, occupied the top house at the corner. Mr. Milner was a very capable artist and was often engaged to renovate some of the valuable pictures at Castle Howard and other great houses in the neighbourhood. Mr. John Skelton, tailor, lived at the opposite side of the street, and where Mr. Cox now lives was occupied by Mr. John Harrison as a Berlin wool shop, who later removed into Saville Street, and he was succeeded by Mr. Albert Bradbury, watchmaker. Just below was Mr. Kirton Waudby, a bootmaker, who was tyler for the Camalodunum Lodge of Freemasons for many years.
Just a word on the recent improvements made in St. Michael-st., Malton. Some months ago we commented on the tumble-down condition of the corner property adjoining Wheelgate, which had for years been a disgrace to that part of the town. But we little anticipated the change that would be wrought in a few short weeks. The “City Clothing Co.” (really a well-known Malton firm) has leased the old property and built on its site some up-to-date shops, extending half-way up St. Michael-st. The frontage both to this street and Wheelgate is architecturally striking; the more so when one remembers its previous condition. The new clothing emporium is well-stocked, too, in every department; and the proprietors evidently mean to let the public see that they can be as well supplied in Malton as in the largest city of the kingdom. Other improvements are still in progress in Yorkersgate and Low-st., and Malton will soon better deserve its title of “a model little town.”
Old Hand’s Notes, Yorkshire Gazette, 9 December 1911